Assembly Bill A10853

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10853
 
                           I N  A S S E M B L Y
 
                               April 8, 2026
                                ___________
 
 Introduced by M. of A. LASHER -- read once and referred to the Committee
   on Economic Development
 
 AN  ACT to amend the general business law, the state finance law and the
   executive law, in relation to monopoly  and  anti-trust  whistleblower
   incentives and protections
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. The general business law is amended by adding a new section
 344 to read as follows:
   §  344.  MONOPOLY  AND   ANTI-TRUST   WHISTLEBLOWER   INCENTIVES   AND
 PROTECTIONS.  DEFINITIONS.  1.  FOR  THE  PURPOSES  OF THIS SECTION, THE
 FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A) "COVERED ENFORCEMENT ACTION" SHALL MEAN:
   (I) ANY ONE OR MORE ENFORCEMENT ACTIONS BROUGHT BY THE ATTORNEY GENER-
 AL UNDER THIS ARTICLE THAT RESULTS IN MONETARY SANCTIONS  EXCEEDING  ONE
 MILLION DOLLARS IN THE AGGREGATE; OR
   (II)  ANY  INVESTIGATIONS, INQUIRIES, SETTLEMENTS, OR ANY OTHER ACTION
 BROUGHT OR MADE BY THE ATTORNEY GENERAL IN RELATION TO  A  VIOLATION  OF
 THIS  ARTICLE  THAT  RESULTS IN MONETARY SANCTIONS EXCEEDING ONE MILLION
 DOLLARS IN THE AGGREGATE.
   (B) "MONETARY SANCTIONS" SHALL MEAN:
   (I) ANY MONIES ORDERED TO BE PAID,  OR  THAT  ARE  OTHERWISE  PAID  OR
 FORFEITED AS A RESULT OF A COVERED ENFORCEMENT ACTION OR RELATED ACTION,
 INCLUDING  ANY  MONIES  ORDERED  TO  BE PAID UNDER SECTION THREE HUNDRED
 FORTY-SEVEN-A OF THIS ARTICLE; OR
   (II) ANY MONIES DEPOSITED INTO A DISGORGEMENT FUND OR  PUBLIC  BENEFIT
 FUND BECAUSE OF A COVERED ENFORCEMENT ACTION OR RELATED ACTION.
   (C) (I) "ORIGINAL INFORMATION" SHALL MEAN INFORMATION THAT:
   (1)  IS DERIVED FROM THE INDEPENDENT KNOWLEDGE OR ANALYSIS OF A WHIST-
 LEBLOWER;
   (2) IS NOT KNOWN TO THE ATTORNEY GENERAL FROM ANY OTHER SOURCE, UNLESS
 THE WHISTLEBLOWER IS THE ORIGINAL SOURCE OF SUCH INFORMATION; AND
   (3) IS NOT EXCLUSIVELY DERIVED FROM AN ALLEGATION MADE IN  A  JUDICIAL
 OR  ADMINISTRATIVE  HEARING, IN A GOVERNMENTAL REPORT, HEARING, AUDIT OR
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD14391-02-6
 A. 10853                            2
 
 INVESTIGATION OR FROM THE NEWS MEDIA,  UNLESS  THE  WHISTLEBLOWER  IS  A
 SOURCE OF SUCH INFORMATION.
   (II)  FOR PURPOSES OF THIS PARAGRAPH, AN ALLEGATION IS NOT MADE IN (1)
 A GOVERNMENTAL REPORT OR  INVESTIGATION  BECAUSE  IT  WAS  DISCLOSED  OR
 PROVIDED  PURSUANT  TO  ARTICLE SIX OF THE PUBLIC OFFICERS LAW, OR UNDER
 ANY OTHER FEDERAL, STATE OR LOCAL LAW,  RULE  OR  PROGRAM  ENABLING  THE
 PUBLIC  TO  REQUEST,  RECEIVE  OR  VIEW  DOCUMENTS OR INFORMATION IN THE
 POSSESSION OF PUBLIC OFFICIALS OR PUBLIC  AGENCIES;  AND  (2)  THE  NEWS
 MEDIA  MERELY  BECAUSE  INFORMATION  OF ALLEGATIONS OR TRANSACTIONS HAVE
 BEEN POSTED ON THE INTERNET OR ON A COMPUTER NETWORK.
   (D) "RELATED ACTION" SHALL MEAN ANY JUDICIAL OR ADMINISTRATIVE  ACTION
 BROUGHT  BY  A  STATE  OR LOCAL AGENCY OR ENTITY BASED UPON THE ORIGINAL
 INFORMATION PROVIDED BY A WHISTLEBLOWER TO THE ATTORNEY GENERAL PURSUANT
 TO THIS SECTION THAT RESULTS IN MONETARY SANCTIONS EXCEEDING ONE MILLION
 DOLLARS IN THE AGGREGATE.
   (E) "WHISTLEBLOWER" SHALL MEAN ANY INDIVIDUAL OR ENTITY  WHO  PROVIDES
 OR TWO OR MORE INDIVIDUALS OR ENTITIES ACTING JOINTLY WHO PROVIDE INFOR-
 MATION TO THE ATTORNEY GENERAL RELATING TO A VIOLATION OF THIS ARTICLE.
   2.  WHISTLEBLOWER AWARDS. (A) ONE OR MORE WHISTLEBLOWERS WHO VOLUNTAR-
 ILY PROVIDE ORIGINAL INFORMATION TO THE ATTORNEY GENERAL  THAT  WAS  THE
 BASIS  FOR A SUCCESSFUL COVERED ENFORCEMENT ACTION, OR A RELATED ACTION,
 SHALL, IN ACCORDANCE WITH THE PROVISIONS OF THIS SECTION, BE ENTITLED TO
 RECEIVE BETWEEN TEN AND THIRTY PERCENT OF THE  MONETARY  SANCTIONS.  ANY
 PAYMENT  TO A PERSON PURSUANT TO THIS SUBDIVISION SHALL BE MADE FROM THE
 MONETARY SANCTIONS OF THE COVERED ENFORCEMENT ACTION OR RELATED  ACTION.
 FOR  THE  PURPOSES  OF  THIS  SUBDIVISION,  MONETARY SANCTIONS SHALL NOT
 INCLUDE:
   (I) DAMAGES RECOVERED IN ACTIONS BROUGHT UNDER SECTION  THREE  HUNDRED
 FORTY-TWO-B OF THIS ARTICLE, EXCEPT FOR THOSE PAYABLE TO THE STATE; AND
   (II)  FINES  PAYABLE  TO  THE  OFFICE  OF  VICTIM SERVICES PURSUANT TO
 SECTION THREE HUNDRED FORTY-SEVEN-A OF THIS ARTICLE.
   (B) A WHISTLEBLOWER WHO PROVIDES THE ATTORNEY GENERAL WITH INFORMATION
 RELATED TO INFORMATION PREVIOUSLY REPORTED TO THE ATTORNEY GENERAL BY  A
 WHISTLEBLOWER  WHO IS ELIGIBLE FOR AN AWARD UNDER THIS SECTION SHALL NOT
 BE ENTITLED TO AN AWARD, UNLESS THE INFORMATION PROVIDED BY  THE  SECOND
 WHISTLEBLOWER  MATERIALLY ADDS TO THE INFORMATION REPORTED TO THE ATTOR-
 NEY GENERAL BY THE FIRST WHISTLEBLOWER.
   (C) THE DETERMINATION OF THE AMOUNT OF AN AWARD MADE WITHIN THE  RANGE
 ESTABLISHED  BY  THIS  SECTION  SHALL BE SOLELY IN THE DISCRETION OF THE
 ATTORNEY GENERAL. IN DETERMINING THE AMOUNT OF AN AWARD MADE WITHIN  THE
 RANGE  ESTABLISHED BY THIS SECTION, THE ATTORNEY GENERAL SHALL TAKE INTO
 CONSIDERATION THE FOLLOWING FACTORS:
   (I) THE SIGNIFICANCE OF THE INFORMATION PROVIDED BY THE  WHISTLEBLOWER
 TO THE SUCCESS OF THE COVERED ENFORCEMENT ACTION OR RELATED ACTION;
   (II)  THE  DEGREE  OF ASSISTANCE PROVIDED BY THE WHISTLEBLOWER AND ANY
 LEGAL REPRESENTATIVE OF THE WHISTLEBLOWER  IN  THE  COVERED  ENFORCEMENT
 ACTION OR RELATED ACTION;
   (III)  THE INTEREST OF THE STATE IN DETERRING VIOLATIONS OF THIS ARTI-
 CLE AND PROMOTING REPORTING BY WHISTLEBLOWERS OF INFORMATION RELATING TO
 SUCH VIOLATIONS; AND
   (IV) ANY ADDITIONAL RELEVANT FACTORS THE ATTORNEY GENERAL  MAY  ESTAB-
 LISH BY RULE OR REGULATION.
   (D) NO AWARD SHALL BE MADE TO ANY WHISTLEBLOWER IF THE ATTORNEY GENER-
 AL SHALL DETERMINE THE WHISTLEBLOWER:
   (I)  IS,  OR  WAS  AT THE TIME THE WHISTLEBLOWER ACQUIRED THE ORIGINAL
 INFORMATION SUBMITTED TO THE ATTORNEY  GENERAL,  A  MEMBER,  OFFICER  OR
 A. 10853                            3
 
 EMPLOYEE  OF A FEDERAL, STATE OR LOCAL LAW ENFORCEMENT AGENCY THAT REGU-
 LATES TRADE OR COMPETITION, OR  THAT  PROSECUTES  TRADE  OR  COMPETITION
 VIOLATIONS;
   (II)  WAS  CONVICTED  OF  A  CRIMINAL VIOLATION RELATED TO THE COVERED
 ENFORCEMENT ACTION FOR WHICH THE WHISTLEBLOWER OTHERWISE  COULD  RECEIVE
 AN AWARD UNDER THIS SECTION;
   (III)  MATERIALLY FAILED TO SUBMIT INFORMATION TO THE ATTORNEY GENERAL
 IN SUCH FORM AS THE ATTORNEY GENERAL MAY REQUIRE; OR
   (IV) (1) KNOWINGLY AND WILLFULLY MAKES FALSE, FICTITIOUS OR FRAUDULENT
 STATEMENTS OR REPRESENTATIONS TO THE ATTORNEY  GENERAL  WHEN  SUBMITTING
 INFORMATION UNDER THIS SECTION; OR
   (2) USES ANY FALSE WRITING OR DOCUMENT KNOWING THE WRITING OR DOCUMENT
 CONTAINS  ANY  FALSE,  FICTITIOUS  OR FRAUDULENT STATEMENT OR ENTRY WHEN
 SUBMITTING INFORMATION UNDER THIS SECTION.
   (E) (I) ANY  DETERMINATION  MADE  UNDER  THIS  SUBDIVISION,  INCLUDING
 WHETHER,  TO  WHOM,  OR  IN  WHAT AMOUNT TO MAKE AWARDS, SHALL BE IN THE
 DISCRETION OF THE ATTORNEY GENERAL;  PROVIDED  THAT  SUCH  AMOUNT  SHALL
 CONFORM  TO  THE RANGE ESTABLISHED BY PARAGRAPH (A) OF THIS SUBDIVISION,
 AND SHALL CONSIDER THE FACTORS LISTED IN PARAGRAPH (C) OF THIS  SUBDIVI-
 SION.
   (II) ANY SUCH DETERMINATION MAY BE CHALLENGED IN ACCORDANCE WITH ARTI-
 CLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES, PROVIDED THAT ANY
 SUCH  CHALLENGE  SHALL  BE BROUGHT WITHIN FORTY-FIVE DAYS OF THE DATE OF
 ANY SUCH DETERMINATION.
   (F) NO CONTRACT WITH THE DEPARTMENT OF LAW OR ANY OTHER  AGENCY  SHALL
 BE  NECESSARY  FOR  ANY  WHISTLEBLOWER  TO  RECEIVE  AN AWARD UNDER THIS
 SECTION.
   (G) (I) ANY WHISTLEBLOWER WHO MAKES A CLAIM FOR AN  AWARD  UNDER  THIS
 SECTION MAY BE REPRESENTED BY COUNSEL.
   (II)  ANY  WHISTLEBLOWER  WHO  ANONYMOUSLY  MAKES A CLAIM FOR AN AWARD
 UNDER THIS SECTION SHALL BE REPRESENTED BY COUNSEL IF THE  WHISTLEBLOWER
 ANONYMOUSLY SUBMITS THE INFORMATION UPON WHICH THE CLAIM IS BASED. PRIOR
 TO  THE PAYMENT OF AN AWARD, A WHISTLEBLOWER SHALL DISCLOSE THE IDENTITY
 OF THE WHISTLEBLOWER AND PROVIDE SUCH OTHER INFORMATION AS THE  ATTORNEY
 GENERAL MAY REQUIRE, DIRECTLY OR THROUGH COUNSEL FOR THE WHISTLEBLOWER.
   (H)  (I) THE ATTORNEY GENERAL SHALL NOT DISCLOSE ANY INFORMATION WHICH
 COULD REASONABLY BE EXPECTED TO REVEAL THE IDENTITY OF A  WHISTLEBLOWER,
 UNLESS AND UNTIL SUCH INFORMATION IS REQUIRED TO BE DISCLOSED TO A PARTY
 IN  CONNECTION  WITH  AN  ACTION  OR  PROCEEDING BROUGHT BY THE ATTORNEY
 GENERAL, A LAWFULLY ISSUED SUBPOENA BY A FEDERAL OR STATE  LAW  ENFORCE-
 MENT AUTHORITY, OR OTHERWISE BY A COURT ORDER. SUCH INFORMATION SHALL BE
 DEEMED  INFORMATION  EXEMPTED  FROM  DISCLOSURE UNDER ARTICLE SIX OF THE
 PUBLIC OFFICERS LAW.
   (II) NOTWITHSTANDING SUBPARAGRAPH (I) OF THIS PARAGRAPH,  WITHOUT  THE
 LOSS OF ITS STATUS AS CONFIDENTIAL IN THE HANDS OF THE ATTORNEY GENERAL,
 ALL  INFORMATION REFERRED TO IN THIS SUBDIVISION MAY, WHEN DETERMINED BY
 THE ATTORNEY GENERAL TO BE NECESSARY TO ACCOMPLISH THE PURPOSES OF  THIS
 ARTICLE,  BE  MADE  AVAILABLE  TO  THE  APPROPRIATE  REGULATORY  AND LAW
 ENFORCEMENT AUTHORITIES  OF  THIS  STATE,  ANOTHER  STATE,  THE  FEDERAL
 GOVERNMENT,  FOREIGN GOVERNMENTS, OR SELF-REGULATORY ORGANIZATIONS. EACH
 REGULATORY OR LAW ENFORCEMENT AUTHORITY TO WHICH  THE  ATTORNEY  GENERAL
 MAKES  AVAILABLE THE INFORMATION REFERRED TO IN SUBPARAGRAPH (I) OF THIS
 PARAGRAPH SHALL AGREE TO MAINTAIN SUCH INFORMATION  IN  ACCORDANCE  WITH
 SUCH  ASSURANCES OF CONFIDENTIALITY AS THE ATTORNEY GENERAL DEEMS APPRO-
 PRIATE.
 A. 10853                            4
 
   3. RETALIATION. (A) (I) IT  SHALL  BE  UNLAWFUL  FOR  ANY  CURRENT  OR
 PROSPECTIVE EMPLOYER, CONTRACTOR OR AGENT TO DISCHARGE, DEMOTE, SUSPEND,
 THREATEN  OR  HARASS,  DIRECTLY  OR  INDIRECTLY,  OR IN ANY OTHER MANNER
 DISCRIMINATE AGAINST ANY PERSON IN HIRING OR IN THE TERMS AND CONDITIONS
 OF  EMPLOYMENT  OR  CONTRACTING  BECAUSE  OF ANY LAWFUL ACT DONE BY SUCH
 PERSON: (1) IN PROVIDING INFORMATION TO THE ATTORNEY GENERAL PURSUANT TO
 THIS SECTION; (2) IN INITIATING,  TESTIFYING  IN  OR  ASSISTING  IN  ANY
 INVESTIGATION  OR  COVERED ENFORCEMENT ACTION UNDER THIS ARTICLE, OR ANY
 RELATED ACTION; OR (3) IN REPORTING ANY VIOLATION  OF  THIS  ARTICLE  TO
 ANOTHER  GOVERNMENT  ENTITY,  TO  A DIRECT SUPERVISOR OR TO A COMPLIANCE
 OFFICER OF SUCH EMPLOYER, CONTRACTOR OR AGENT.
   (II) ANY PERSON WHO IS DISCHARGED, DEMOTED, SUSPENDED,  THREATENED  OR
 HARASSED  OR  IN ANY OTHER MANNER DISCRIMINATED AGAINST IN THE TERMS AND
 CONDITIONS OF EMPLOYMENT, OR OTHERWISE HARMED OR PENALIZED BY AN EMPLOY-
 ER, OR A PROSPECTIVE EMPLOYER, BECAUSE  OF  LAWFUL  ACTS  DONE  BY  SUCH
 PERSON  OR  ASSOCIATED  OTHERS IN FURTHERANCE OF ANY COVERED ENFORCEMENT
 ACTION OR RELATED ACTION OR OTHER EFFORTS TO STOP ONE OR MORE VIOLATIONS
 OF THIS ARTICLE, INCLUDING BUT NOT LIMITED TO REPORTING SUCH  VIOLATIONS
 TO  ANY  GOVERNMENT  ENTITY,  TO  A DIRECT SUPERVISOR OR TO A COMPLIANCE
 OFFICER OF SUCH EMPLOYER OR PROSPECTIVE EMPLOYER, SHALL BE  ENTITLED  TO
 ALL  RELIEF  NECESSARY  TO  MAKE  SUCH  PERSON  WHOLE. SUCH RELIEF SHALL
 INCLUDE, BUT NOT BE LIMITED TO:
   (1) AN INJUNCTION TO RESTRAIN CONTINUED DISCRIMINATION;
   (2) HIRING, CONTRACTING OR REINSTATEMENT TO THE POSITION  SUCH  PERSON
 WOULD HAVE HAD BUT FOR THE DISCRIMINATION OR TO AN EQUIVALENT POSITION;
   (3) REINSTATEMENT OF FULL FRINGE BENEFITS AND SENIORITY RIGHTS;
   (4) PAYMENT OF TWO TIMES BACK PAY, PLUS INTEREST; AND
   (5)  COMPENSATION  FOR  ANY  SPECIAL  DAMAGES SUSTAINED BECAUSE OF THE
 DISCRIMINATION, INCLUDING LITIGATION  COSTS  AND  REASONABLE  ATTORNEYS'
 FEES.
   (B)  FOR  PURPOSES  OF THIS SUBDIVISION, A "LAWFUL ACT" SHALL INCLUDE,
 BUT NOT BE LIMITED TO, OBTAINING OR TRANSMITTING TO THE ATTORNEY GENERAL
 OR PRIVATE COUNSEL EMPLOYED TO INVESTIGATE OR POTENTIALLY FILE WITH  THE
 ATTORNEY  GENERAL  INFORMATION  RELATING TO A VIOLATION OF THIS ARTICLE,
 EVEN THOUGH SUCH  ACT  MAY  VIOLATE  A  CONTRACT,  SEVERANCE  AGREEMENT,
 EMPLOYMENT TERM, OR DUTY OWED TO THE EMPLOYER OR CONTRACTOR.
   (C)  ANY  PERSON SEEKING RELIEF PURSUANT TO SUBPARAGRAPH (II) OF PARA-
 GRAPH (A) OF THIS SUBDIVISION MAY BRING AN  ACTION  IN  THE  APPROPRIATE
 SUPREME  COURT  FOR  THE  RELIEF  PROVIDED  IN THIS SUBDIVISION. A CIVIL
 ACTION UNDER THIS SUBDIVISION SHALL NOT BE BROUGHT:
   (I) MORE THAN SIX YEARS AFTER THE DATE ON WHICH THE VIOLATION OF PARA-
 GRAPH (A) OF THIS SUBDIVISION OCCURRED; OR
   (II) MORE THAN THREE YEARS AFTER THE DATE WHEN FACTS MATERIAL  TO  THE
 RIGHT  OF  ACTION  ARE KNOWN OR REASONABLY SHOULD HAVE BEEN KNOWN BY THE
 EMPLOYEE ALLEGING A VIOLATION OF PARAGRAPH (A) OF THIS SUBDIVISION,  BUT
 NOT  IN  ANY  CIRCUMSTANCES  MORE THAN TEN YEARS AFTER THE DATE ON WHICH
 SUCH VIOLATION OCCURS.
   4. NO WAIVER OR PREEMPTION. (A) THIS SECTION SHALL NOT:  (I)  PREEMPT,
 LIMIT OR RESTRICT THE AUTHORITY OR DISCRETION OF THE ATTORNEY GENERAL TO
 INVESTIGATE OR ENFORCE VIOLATIONS OF THIS ARTICLE; (II) LIMIT ANY POWERS
 GRANTED  ELSEWHERE IN THIS CHAPTER AND OTHER LAWS TO THE ATTORNEY GENER-
 AL, STATE AGENCIES OR LOCAL GOVERNMENTS TO INVESTIGATE OR ENFORCE POSSI-
 BLE VIOLATIONS OF THIS ARTICLE;  (III)  AUTHORIZE  A  PRIVATE  RIGHT  OF
 ACTION INVOLVING FRAUDULENT PRACTICES IN CONNECTION WITH THE SECURITIES;
 (IV) PREVENT OR PROHIBIT A PERSON FROM VOLUNTARILY DISCLOSING ANY INFOR-
 MATION  CONCERNING  A  VIOLATION  OF THIS ARTICLE TO ANY LAW ENFORCEMENT
 A. 10853                            5
 
 AGENCY OR SELF-REGULATORY ORGANIZATION; OR (V) PREEMPT, LIMIT,  RESTRICT
 OR  OTHERWISE  AFFECT  THE RIGHTS AND REWARDS PROVIDED TO QUI TAM PLAIN-
 TIFFS UNDER ARTICLE THIRTEEN OF THE STATE FINANCE LAW.
   (B)  THE  RIGHTS  AND REMEDIES PROVIDED FOR IN THIS SECTION MAY NOT BE
 WAIVED BY ANY AGREEMENT, POLICY FORM, OR  CONDITION  OF  EMPLOYMENT.  NO
 SALARY  OR WAGES EARNED BY THE WHISTLEBLOWER DURING SUCH WHISTLEBLOWER'S
 EMPLOYMENT, NOR ANY  CONSIDERATION  PROVIDED  TO  THE  WHISTLEBLOWER  IN
 CONNECTION  WITH  SUCH  WHISTLEBLOWER'S  SEVERANCE FROM SUCH EMPLOYMENT,
 RELATED TO ORIGINAL INFORMATION OR THE  COVERED  ENFORCEMENT  ACTION  OR
 RELATED  ACTION  MAY  BE  RECOUPED BY ANY RIGHT OF ACTION BROUGHT BY THE
 EMPLOYER.
   (C) NOTHING IN THIS SECTION SHALL BE DEEMED TO  DIMINISH  THE  RIGHTS,
 PRIVILEGES,  OR REMEDIES OF ANY WHISTLEBLOWER UNDER ANY FEDERAL OR STATE
 LAW, OR UNDER ANY COLLECTIVE BARGAINING AGREEMENT.
   5. REGULATIONS. THE ATTORNEY GENERAL IS AUTHORIZED TO ADOPT SUCH RULES
 AND REGULATIONS AS ARE NECESSARY TO  EFFECTUATE  THE  PURPOSES  OF  THIS
 SECTION.
   § 2. Paragraph (b) of subdivision 11 of section 4 of the state finance
 law,  as  amended by chapter 171 of the laws of 2022, is amended to read
 as follows:
   (b) Paragraph (a) of this subdivision shall not apply to (1) moneys to
 be distributed to the federal government, to a local government,  or  to
 any  holder  of a bond or other debt instrument issued by the state, any
 public authority, or any public benefit corporation; (2)  moneys  TO  BE
 DISTRIBUTED  TO A WHISTLEBLOWER PURSUANT TO SECTION THREE HUNDRED FORTY-
 FOUR OF THE GENERAL BUSINESS LAW, OR to be distributed solely or  exclu-
 sively as a payment of damages or restitution to individuals or entities
 that  were specifically injured or harmed by the defendant's or settling
 party's conduct and that are identified in, or can be identified by  the
 terms  of,  the  relevant  judgment,  agreement  to settle, assurance of
 discontinuance, or relevant instrument resolving the claim or  cause  of
 action;  (3)  moneys  recovered or obtained by a state agency or a state
 official or employee acting in their official capacity where application
 of paragraph (a) of this subdivision is prohibited by federal law, rule,
 or regulation, or would result in the reduction or loss of federal funds
 or eligibility for federal benefits pursuant to federal  law,  rule,  or
 regulation; (4) moneys recovered or obtained by or on behalf of a public
 authority,  a public benefit corporation, the department of taxation and
 finance, the workers' compensation board,  the  New  York  state  higher
 education  services corporation, the tobacco settlement financing corpo-
 ration, a state or local retirement system, an employee  health  benefit
 program  administered by the New York state department of civil service,
 the Title IV-D child support fund, the lottery prize fund, the abandoned
 property fund, or an endowment of the state university of  New  York  or
 any  unit  thereof  or any state agency, provided that all of the moneys
 received or recovered are immediately transferred to the relevant public
 authority, public benefit corporation,  department,  fund,  program,  or
 endowment;  (5)  moneys to be refunded to an individual or entity as (i)
 an overpayment of a tax, fine, penalty,  fee,  insurance  premium,  loan
 payment, charge or surcharge; (ii) a return of seized assets, or (iii) a
 payment made in error; (6) moneys to be used to prevent, abate, restore,
 mitigate,  or  control  any  identifiable  instance  of prior or ongoing
 water, land or air pollution; and (7) moneys  deposited  to  the  opioid
 settlement fund established in section ninety-nine-nn of this chapter.
 A. 10853                            6
 
   §  3.  Paragraph  (b) of subdivision 16 of section 63 of the executive
 law, as amended by chapter 171 of the laws of 2022, is amended  to  read
 as follows:
   (b) Paragraph (a) of this subdivision shall not apply to any provision
 in  the resolution of a claim or cause of action providing (1) moneys to
 be distributed to the federal government, to a local government,  or  to
 any  holder  of a bond or other debt instrument issued by the state, any
 public authority, or any public benefit corporation; (2)  moneys  TO  BE
 DISTRIBUTED  TO A WHISTLEBLOWER PURSUANT TO SECTION THREE HUNDRED FORTY-
 FOUR OF THE GENERAL BUSINESS LAW, OR to be distributed solely or  exclu-
 sively as a payment of damages or restitution to individuals or entities
 that  were specifically injured or harmed by the defendant's or settling
 party's conduct and that are identified in, or can be identified by  the
 terms  of,  the  relevant  judgment,  stipulation,  decree, agreement to
 settle, assurance of discontinuance, or  relevant  instrument  resolving
 the  claim  or  cause of action; (3) moneys recovered or obtained by the
 attorney general where application of paragraph (a) of this  subdivision
 is  prohibited  by  federal law, rule, or regulation, or would result in
 the reduction or loss of federal funds or eligibility for federal  bene-
 fits  pursuant to federal law, rule, or regulation; (4) moneys recovered
 or obtained by or on behalf of a  public  authority,  a  public  benefit
 corporation,  the  department  of  taxation  and  finance,  the workers'
 compensation board, the New York state higher education services  corpo-
 ration,  the  tobacco settlement financing corporation, a state or local
 retirement system, an employee health benefit  program  administered  by
 the  New  York  state  department of civil service, the Title IV-D child
 support fund, the lottery prize fund, the abandoned property fund, or an
 endowment of the state university of New York or any unit thereof or any
 state agency, provided that all of the moneys received or recovered  are
 immediately transferred to the relevant public authority, public benefit
 corporation,  department,  fund, program, or endowment; (5) moneys to be
 refunded to an individual or entity as (i)  an  overpayment  of  a  tax,
 fine,   penalty,   fee,  insurance  premium,  loan  payment,  charge  or
 surcharge; (ii) a return of seized assets; or (iii) a  payment  made  in
 error;  (6)  moneys  to  be used to prevent, abate, restore, mitigate or
 control any identifiable instance of prior or ongoing water, land or air
 pollution; and/or (7) state moneys received as  part  of  any  statewide
 opioid  settlement  agreements as defined in section 25.18 of the mental
 hygiene law, to be spent on eligible expenditures as defined in  section
 25.18 of the mental hygiene law.
   §  4.  This  act shall take effect on the ninetieth day after it shall
 have become a law.